The price of cotton is decreasing

The price of cotton is decreasing

According to the Bremen Cotton Market Report cotton prices are on decline

The Bremen CIF-Index dropped for the first time since June 2010 by six US-cents thus to less than one USD. Also the Chinese purchases were not able to stabilize the prices for cotton at New York’s Future Exchange.

The Bremen Cotton Exchange reports that contracts were closed for Central Asian destinations for medium staple cotton range from West Africa and delivery during the first quarter of 2012 and in the long staple range Giza 88 and Israel Pima were sold for near dates.

In October and November U.S. cotton exports dramatically increased – though from historically low levels – and the major customer was China. The purchases seem to have taken place for national stock taking and not to directly serve domestic market demand.

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